My 1099-b form doesn't say what sale category i have, long or short term, covered or noncovered,

[KittyM · Accepted solution]

You can calculate these details for yourself, although they should be on your 1099-B.  The 1099-B uses terminology like "Long-Term sales reported to the IRS with Box B checked."

Long-Term means you held it more than a year.  Short-Term means you held it one year or less.  (You can calculate both these from the dates purchased and sold.)

Covered sales are Category/Box A (meaning what you paid for it is reported to the IRS), and Non-covered are Category/Box B (meaning what you paid is not reported to the IRS).  If it doesn't show what you paid, you will need to look it up in your records.

[takumi]

I need assistance interpreting 1099-B and Forms 8949.  I cashed out a non-retirement mutual fund in February 2017 that I’ve held for 23 years (and have used TurboTax for over 20 year to report my 1099-DIVs. Do I need to perform a forensic accounting for the 23 years using Forms 8949?  Or am I just looking at January – February 2017 and use January 1, 2017 as the ‘Date acquired’ and $0.00 for the basis

The 2017 Year-End statement states $0.00 dividends and $0.00 Long Term capital gains.  

The 2017 1099-B shows:

    Covered Shares:  both Short Term and Long Term; includes basis for each

    Noncovered Shares:  basis is blank but reported to IRS; short-term or long-term is “unknown to the fund. You must determine Short Term and Long Term based on your records.”

TurboTax is asking for the ‘Date acquired’ for the covered Short Term and Long Term shares and for the Noncovered shares; and the basis for the Noncovered shares.

Confused and frustrated!  Please help!

[pacificnapu]

is box 2 the same as box b?

[Cynthiad66]

Please provide more information.  Your question is, "if Box 2 the same a Box B"?  What information are you inquiring about.  If it is on Form 1099B Please  describe the requested information so that we can specifically respond to your question.

Below are instructions for 1B and 2 on form 1099B.  If this is not your question, please come back to this forum with more details.

Box 1b. This box may be blank if box 5 is checked or if the securities sold were acquired on a variety of dates. For short sales, the date shown is the date you acquired the security delivered to close the short sale.

Box 2. The short-term and long-term boxes pertain to short-term gain or loss and long-term gain or loss. If the “Ordinary” box is checked, your security may be subject to special rules. For example, gain on a contingent payment debt instrument subject to the noncontingent bond method is generally treated as ordinary interest income rather than as capital gain. See the Instructions for Form 8949, Pub. 550, or Pub. 1212 for more details on whether there are any special rules or adjustments that might apply to your security. If box 5 is checked, box 2 may be blank.

@pacificnapu

[Rock3333]

the box will you select short term transactions for which basis is reported to the IRS I’m confused on which one I post to check

[JamesG1]

A noncovered security means a broker is not required to report the cost basis of that security to the IRS.  The adjusted cost basis of noncovered securities is only reported to the taxpayer, not to the IRS.  For noncovered securities, you are responsible for reporting cost basis information to the IRS when you file your taxes.

A covered security means a broker is required to report the cost basis of that security to the IRS.

Did not receive a 1099-B form means you are reporting an investment for which an IRS form 1099-B was not reported to the IRS.

Capital gains and losses are separated by long-term and short-term basis. 

• Short-term gains or losses come from the sale of investments owned one year or less.
• Long-term gains or losses come from the sale of investments held more than one year.

@Rock3333